subject
Mathematics, 12.03.2022 20:10 princess239

Suppose Microsoft has mean 6.5% and standard deviation 10%, and GameStop has standard deviation 30%. The risk-free rate is 5%. Alice and Bob have mean-variance utility. A. Alice is indifferent between Microsoft, GameStop, and the risk-free asset. What is the mean return of GameStop? Hint: first compute Alice's risk aversion. In the first box, answer with 1 decimal e. g. 12.2 (no % sign). B. Alice's optimal portfolio has mean 20% and standard deviation 25%. Bob's optimal portfolio has mean 14%. What is the standard deviation of Bob's optimal portfolio in percentage points? In the second box, answer an integer, e. g., for a standard deviation of 0.14 or 14% answer 14 (without the % sign). C. Whose indifference curves are steeper? In the third box, answer A for Alice, B for Bob.

ansver
Answers: 1

Other questions on the subject: Mathematics

image
Mathematics, 21.06.2019 16:30, Thejollyhellhound20
What is the remainder when 2872 is divided by 76? a) 51 b) 57 c) 60 d) 63
Answers: 2
image
Mathematics, 21.06.2019 19:30, girly37
Atemperature of 1.64◦f corresponds to answer in units of ◦c.
Answers: 1
image
Mathematics, 21.06.2019 20:40, kaylabethany
How is the equation of this circle written in standard form? x2 + y2 - 6x + 14y = 142 a) (x - 3)2 + (y + 7)2 = 200 b) (x+ 3)2 + (y - 7)2 = 200 (x - 6)2 + (y + 14)2 = 142 d) (x+6)2 + (y- 14)2 = 142
Answers: 1
image
Mathematics, 22.06.2019 00:30, jkirby29
Nicole purchased a container of cashews that weighs 5 kilograms. zion purchased a container of cashews that weighs 4,900 grams. how many more grams of cashews did nicole purchase?
Answers: 1
You know the right answer?
Suppose Microsoft has mean 6.5% and standard deviation 10%, and GameStop has standard deviation 30%....

Questions in other subjects: